A.D. Banker Property & Casualty Insurance with correct answers

Under Coverage C of a Homeowners policy, losses to all of the following may be covered, except: - ANSWERSProperty of a tenant After a partial loss to property that is included in a set, the insurer may: - ANSWERSPay the difference between the actual cash value of the property before and after the loss Any liability coverage provided by a Homeowners policy is: - ANSWERSExcess insurance, unless other insurance is written as excess insurance An insured, whose Personal Auto policy has 25/50/10 limits, is at-fault in a car accident. Claimant A has bodily injuries in the amount of $25,000. Claimant B has bodily injuries equaling $20,500. Claimant C has bodily injuries equaling $4,000. What is the insurer's liability for this accident? - ANSWERS$49,500 The Director of the Department of Insurance and Financial Services (DIFS) of Michigan had grounds to suspend P's Michigan insurance license when the Director discovered that: - ANSWERSP failed to pay business taxes H has a Homeowners policy with one limit of insurance indicated for coverage for the building and another limit indicated for coverage for personal property. H's policy is written using what kind of property insurance limit? - ANSWERSScheduled limits Which of the following statements regarding auto insurance in Michigan are true? - ANSWERSWhich of the following statements regarding auto insurance in Michigan are true? Which of the following statements regarding auto insurance in Michigan are true? - ANSWERSAn insurance counselor For a loss to be covered under a standard property policy, the insured must do which of the following? - ANSWERSProtect property from further damage Which of the following would be considered inducement? - ANSWERSMisrepresenting policy terms in order to persuade a consumer to replace an existing insurance policy Loss cost refers to: - ANSWERSThe cost of claims, not including overhead costs or profits Personal Auto policies exclude coverage under Part C - Uninsured Motorists Coverage for all of the following claims, except: - ANSWERSA neighbor is struck by an uninsured car while using the insured's covered auto with permission Which type of standard policy includes coverage options that would not exclude damage by flood? - ANSWERSPersonal Auto policies After a Personal Auto policy is in effect for 60 days, which of the following is not a valid reason to cancel the policy? - ANSWERSClaims history When a property policy values property on a stated value basis, how would the insurer settle a total loss? - ANSWERSThe insurer pays the lesser the insured's reported value of the property and the property's actual cash value Under the Mortgage clause of a property policy, a mortgagee is given the right to do all of the following, except: - ANSWERSAssign the policy to another person with the insurer's permission Under a Personal Auto policy with no added endorsements, which vehicle would NOT be covered? - ANSWERSA motorcycle the insured owns Under a Personal Auto policy, which of the following vehicles is covered by liability coverage? - ANSWERSNon-owned golf cart A lender who finances an auto loan could receive claim payments under which policy condition? - ANSWERSLoss Payable Clause Coverage provided by a standard property policy contains all of the following policy terms, except: - ANSWERSCoverage is provided for losses resulting from a quality of the property that causes it to destroy itself When through their local radio advertisements, G knowingly misrepresented their agency's connection to a well-respected insurer, they became guilty of: - ANSWERSFalse Advertising Personal injury protection provides all of the following benefits, except: - ANSWERSFuneral and burial expenses of at least $1,500, but not more than $4,000 John Doe, an insurance producer, would need to notify the Director before doing business as all of the following, except: - ANSWERSJohn Doe Insurance Agency Which of the following statements regarding the payment of commissions for the sale of insurance contracts is correct? - ANSWERSAn individual must be a licensed health insurance producer in order to earn a first year commission for selling a Medicare Supplement policy What are the minimum required limits for residual liability in Michigan? - ANSWERS50/100/10 All of the following statements about torts are correct, except: - ANSWERSThey must be committed intentionally If a personal auto policy issued in Michigan has been in effect for 45 days, what is the required cancellation notice the insurer must provide? - ANSWERS20 da